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About Debt Investments: Lecture Notes What Is A Debt Instrument?
Debt instruments can be classified into three categories based on the entity's business model and the contractual cash flow characteristics: 1. Measured at amortized cost if the objective is to collect contractual cash flows and the cash flows are solely payments of principal and interest. 2. Measured at fair value through other comprehensive income if the objective is to both collect contractual cash flows and sell financial assets, and the cash flows are solely payments of principal and interest. 3. Measured at fair value through profit or loss if the business model is trading or the cash flows are not solely payments of principal and interest. The entity must initially recognize financial assets at fair value and subsequently measure them
Detailed Information
| Author: | ['mo'] |
|---|---|
| Publication Year: | 2021 |
| Pages: | 17 |
| Language: | English |
| Format: | |
| Price: | FREE |
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